STATE BANK OF INDIA vs MS SVOGL OIL GAS AND ENERGY LTD on 5 January 2026

**FINAL ORDER**

1. 1. This Original Application was filed on 16.01.2017 under Section 19 of the Recovery of Debts Due to Banks and Financial Institutions Act, 1993, for recovery of Rs.455,26,94,423.22 (Rupees Four Hundred Fifty-Five Crore, Twenty-Six Lakh, Ninety-Four Thousand, Four Hundred Twenty-Three and Twenty-Two Paise only) by the Applicant Bank from Defendants No. 1 to 7, who are jointly and severally liable, individually and coextensively, to pay the principal amount along with interest accrued up to the date of filing of the OA, in addition to pendent lite and future interest, costs, and other charges. The Applicant Bank, a body corporate constituted under the State Bank of India Act, 1955, carries on banking business through its Central Office at Madame Cama Road, Mumbai, and Local Head Office at 11, Parliament Street, New Delhi – 110001, operating multiple branches, including its Stressed Assets Management Branch at Sixth Floor, Baba Kharak Singh Marg, New Delhi, has perpetual succession, and can sue or be sued in its own name. Mr. Rakesh Verma, Assistant General Manager of the Stressed Assets Management Branch at 12th Floor, Jawahar Vyapar Bhawan, STC Building, Tolstoy Marg, New Delhi, is fully conversant with the facts of the case and competent to depose on them, being authorized to sign and verify applications, affidavits, Vakalatnamas, pleadings, and other documents, and to perform all acts necessary for legal proceedings on behalf of the Bank under General Regulations No. 76 and 77 of the SBI General Regulations, 1955, made under Section 50(3) of the SBI Act, 1955, with prior sanction of the Central Government as notified in the Gazette of India on 26.09.1959, 26.08.1972, and 02.05.1987.

1. 2. It is pertinent to note that subsequent to the filing of the Original Application, and during the pendency of the *lis*, the Applicant Bank sought amendment of the OA with a view to place on record the factum of invocation of the bank guarantees and to accordingly claim the amounts realized therefrom, which event had occurred after the institution of the proceedings. The said amendment application was duly considered by the Tribunal and, finding the same to be necessary for a complete and effective adjudication of the issues involved, the Tribunal allowed the amendment vide order dated 01.04.2019, thereby permitting the Applicant Bank to bring the invoked guarantees and the consequential claim on record.

1. 3. It is pertinent here that this OA bearing No. 241/2017 was originally filed before Ld. DRT-II, Delhi, however, in pursuance to Gazette Notification No. 4718(E) dated 04.10.2022 issued by Government of India, Department of Financial Services, Ministry of Finance, this case file was transferred by Ld. DRT-II, Delhi to this Tribunal on 04.11.2022 and was numbered at TA-233/2022.

2. 4. The brief facts of the case are that Defendant No. 1 is a company incorporated under the Companies Act, 1956 and engaged in oil and gas exploration, originally incorporated on or about 05.12.1989 as *Shiv Vani Drilling Private Limited*, thereafter renamed *Shiv Vani Drilling Limited* with effect from 12.01.1990, subsequently *Shiv Vani Oil and Gas Energy Limited*, and finally *SVOGL Oil Gas and Energy Limited* with effect from 18.11.2014, under which name it is presently carrying on business. Defendants No. 2 to 7 are the promoters, directors, and guarantors who furnished personal and corporate guarantees for the credit facilities sanctioned to Defendant No. 1 and are jointly and severally liable for the outstanding dues. The remaining defendants are banks and financial institutions forming part of the lending consortium which, along with the Applicant Bank, extended financial assistance to Defendant No. 1. One of the guarantor companies, *SVUL Projects Ltd.*, merged with Defendant No. 1 pursuant to the order dated 28.03.2006 passed by the Hon'ble Delhi High Court, as a result of which the liabilities of both entities stood consolidated and were taken over and acknowledged by Defendant No. 1. From January 1998 onwards, the Defendants repeatedly sought and availed sanction, renewal, enhancement, and restructuring of fund-based and non-fund-based credit facilities between 1998 and 2009, in respect of which Defendant No. 1 and Defendants No. 2 to 7 executed various loan, security, guarantee, revival, indemnity, consortium, and inter se agreements, thereby acknowledging their subsisting liability and binding themselves jointly and severally to repay the dues of the Applicant Bank and consortium lenders.

1. 5. So far as, the Defendants No. 4 to 7 have remained ex parte since 05.02.2024, Despite due service of summons, the said Defendants failed to appear or file their response before this Tribunal, and accordingly, proceedings against them were initiated and continued ex parte.

2. 14. It is pertinent that Defendants No. 1 to 3 are presently undergoing CIRP pursuant to the order of the Ld. NCLT, New Delhi, under the Insolvency and Bankruptcy Code, 2016. Since a Resolution Professional has been appointed and the Applicant Bank has already lodged its claim in the said proceedings, no relief is being granted against Defendants No. 1 to 3 in the present matter. However, any amount realized by the Applicant Bank in the insolvency proceedings shall be duly adjusted in the present recovery proceedings and SVUL Projects Ltd. has now merged with Defendant No. 1 company by order dated 28.03.2006 of the Hon'ble Delhi High Court.

3. 6. It is further stated that in or around January 1998, the Defendants approached the Applicant Bank seeking grant of credit facilities in favour of Defendant No. 1, pursuant to which the Applicant Bank, after due consideration, sanctioned credit facilities vide sanction letter bearing No. IFB/CREDIT/1997-98/507 dated 27.01.1998, comprising a Cash Credit facility of Rs. 4.25 crores secured by hypothecation of stocks and book debts, along with non-fund based facilities including a Letter of Credit of Rs. 1.00 crore and a Bank Guarantee of Rs. 1.00 crore, aggregating to a total exposure of Rs. 6.25 crores, which facilities were thereafter duly availed by the Defendants and were subsequently renewed, enhanced, and supplemented by sanction of additional facilities from time to time at the request of the Defendants.

1. 7. That in the year 2004, in connection with the sanction of further and enhanced credit facilities, the Defendants duly executed and furnished the requisite loan, credit, and guarantee documents mentioned as under by Defendant No. 1 who duly availed the credit facilities.

1. i. Sanction Letter bearing No. IFB/Credit/RM-111/2004-05 dated 18.12.2004, along with its annexure, acknowledging sanction and disbursement of enhanced credit facilities – Annexure A-1.

2. ii. Board Resolution of Defendant No. 1 dated 18.12.2004, accepting the terms of sanction, creating first charge over present and future assets, and authorising Shri Prem Singhee, Shri Padam Singhee, and Mrs. Madhuri Singhee to furnish personal guarantees and M/s SVUL Projects Ltd. to furnish corporate guarantee – Annexure A-2.

3. iii. Letter accepting the enhanced credit facilities dated 18.12.2004, signed by Shri Prem Singhee – Annexure A-3.

4. iv. Extract of Minutes of the Annual General Meeting dated 23.12.2003, enhancing the borrowing powers of the Board of Directors from Rs. 200 crores to Rs. 300 crores – Annexure A-4.

5. v. Form C-1A – Supplemental Agreement of Loan for Increase in Overall Limit dated 18.12.2004, executed by Defendant No. 3, Shri Padam Singhee, on behalf of Defendant No. 1 – Annexure A-5.

6. vi. Form C-2A – Supplemental Agreement of Hypothecation of Goods and Assets for Increase in Overall Limit dated 18.12.2004, executed by Shri Padam Singhee on behalf of Defendant No. 1 – Annexure A-6.

- vii. Form C-4A – Supplemental Deed of Corporate Guarantee for Increase in Overall Limit dated 18.12.2004, executed on behalf of M/s SVUL Projects Ltd. by Shri Padam Singhee – Annexure A-7.

- viii. Form C-4A – Supplemental Deeds of Personal Guarantee for Increase in Overall Limit dated 18.12.2004, executed by Shri Prem Singhee, Shri Padam Singhee, and Mrs. Madhuri Singhee – Annexure A-8.

- ix. Form C-5 – Letter regarding Grant of Individual Limits within the Overall Limit dated 18.12.2004, executed by Defendant No. 1 through its authorised personnel – Annexure A-9.

8. That pursuant to the order dated 28.03.2006 passed by the Hon'ble Delhi High Court, SVUL Projects Ltd. merged with Shiv Vani Oil & Gas Exploration Services Ltd., as a result of which the bank accounts of both entities were consolidated into a single account, and since both entities had availed financial assistance from the Applicant Bank, the entire liabilities of SVUL Projects Ltd. stood transferred to and taken over by Defendant No. 1, which liabilities were expressly acknowledged by Defendant No. 1 at the time of approaching the Applicant Bank for sanction of further credit facilities.

9. That in May 2006, the Defendants once again approached the Applicant Bank seeking continuation of the existing credit facilities along with sanction of a one-time Cash Credit limit of Rs. 22.50 crores and a one-time Bank Guarantee limit of Rs. 25.00 crores. The Applicant Bank, vide its sanction letter bearing No. IFB/RM-111/06-07 dated 25.05.2006, sanctioned the said credit facilities, which were duly accepted by the Defendants in their capacity as borrower and guarantors. Pursuant thereto, the Defendants availed the sanctioned facilities and, in furtherance thereof, executed and furnished the requisite loan, credit and guarantee documents, including the duly signed sanction letter dated 25.05.2006 in token of acceptance, extracts of the minutes of the meeting of the Board of Directors of Shiv Vani Oil and Gas Explorations Services Limited, and a copy of the minutes of the meeting of the Board of Directors of SVUL Projects dated 26.04.2006.

1. 10. That in July 2006, the Defendants once again approached the Applicant Bank seeking modification of the existing credit facilities, pursuant to which they executed and furnished the requisite loan and guarantee documents. In furtherance thereof, the Defendants duly signed the sanction letter bearing No. IFB/RM-111/06-07 dated 25.05.2006 and executed a Letter regarding Individual Limit within the Overall Limit dated 05.07.2006, Form C-1A Supplemental Agreement for Loan for increase in the Overall Limit dated 05.07.2006, Form C-2A Supplemental Agreement of Hypothecation of Goods and Assets for increase in the Overall Limit dated 05.07.2006, and Supplemental Deeds of Guarantee for increase in the Overall Limit dated 05.07.2006. The Defendants further executed an Omnibus Counter Guarantee dated 05.07.2006, whereby Defendant No. 1 provided an irrevocable and unconditional indemnity in favour of the Applicant Bank against all claims, losses, costs and liabilities arising out of the enhanced credit facilities.

2. 11. That in November 2006, the Defendants once again approached the Applicant Bank seeking enhancement of the existing credit limits. On the request of Defendant Nos. 1 to 7, the Applicant Bank agreed to enhance the limits, whereby the Cash Credit limit was increased from Rs. 16.00 crores to Rs. 21.00 crores, while the one-time Cash Credit limit of Rs. 22.50 crores and Term Loan-I of Rs. 9.80 crores remained unchanged, and a new Term Loan-II of Rs. 30.00 crores was sanctioned, thereby enhancing the total fund-based limits from Rs. 48.30 crores to Rs. 83.30 crores. The non-fund-based limits were also enhanced, resulting in the total non-fund-based limits increasing from Rs. 78.00 crores to Rs. 83.00 crores, including Bank Guarantees, Letters of Credit, and a one-time import Letter of Credit. Consequently, the overall exposure of the Applicant Bank comprising fund-based and non-fund-based limits stood enhanced from Rs. 131.30 crores to Rs. 136.30 crores, apportioned between SOGES and SPL as per the revised sanction.

1. 12. That the enhanced credit limits were duly sanctioned and thereafter availed by the Defendants, who, in acknowledgement of the said sanction, executed and furnished the requisite loaning and guarantee documents. In this regard, the Defendants signed the sanction letter accepting the enhanced facilities and furnished extracts of the minutes of the meeting of the Board of Directors of Shiv Vani Oil & Gas Exploration Services Limited dated 16.11.2006 approving the enhanced limits and authorising Defendants No. 2 to 4 to convey the same to the Applicant Bank, along with the minutes of the Extra Ordinary General Meeting of shareholders held on 28.11.2005 enhancing the borrowing powers of the Board up to Rs. 1000 crores under Section 293(1)(d) of the Companies Act, 1956.

2. 13. The Defendants further executed Form C-1 Agreement of Loan for Overall Limit dated 27.11.2006, Form C-2 Agreement of Hypothecation of Goods and Assets dated 27.11.2006, Form C-4 Deed of Guarantee for Overall Limit dated 27.11.2006 executed by the guarantors in their personal capacity, Form C-5 letter regarding grant of individual limit within the overall limit dated 27.11.2006, and Form C-6 Revival Letters dated 27.11.2006 acknowledging subsisting liabilities, including those under earlier supplemental agreements.

14. In addition, the Defendants executed the Working Capital Consortium Agreement dated 27.11.2006, Agreement-cum-Indemnity dated 25.11.2006, letters of undertaking for creation of first and second charge on fixed assets, and joint deeds of hypothecation in favour of the Applicant Bank and Punjab National Bank.

15. Pursuant thereto, the Applicant Bank and Punjab National Bank also executed an inter se agreement dated 27.11.2006, wherein State Bank of India was designated as the Lead Bank and Punjab National Bank agreed to act in accordance with the instructions of the Lead Bank for the matters specified therein.

16. That in the year 2007, the Defendants once again approached the Applicant Bank seeking sanction of further and enhanced credit facilities, which request was duly considered and accepted, and accordingly the Applicant Bank sanctioned additional credit facilities as detailed hereinafter.

<table border="1"> <thead> <tr> <th>Limits</th> <th>Existin<br/>g (SBI)</th> <th>%</th> <th>Existing<br/>(MBA)</th> <th>Propose<br/>d (SBI)</th> <th>%</th> <th>Propose<br/>d (MBA)</th> <th>Chang<br/>e<br/>(SBI)</th> <th>Chang<br/>e<br/>(MBA<br/>)</th> </tr> </thead> <tbody> <tr> <td>Cash Credit</td> <td>21.00</td> <td>70</td> <td>30.00</td> <td>21.00</td> <td>70</td> <td>30.00</td> <td></td> <td>-</td> </tr> <tr> <td>One-time Cash Credit</td> <td>22.50</td> <td>50</td> <td>45.00</td> <td>22.50</td> <td>50</td> <td>45.00</td> <td></td> <td>-</td> </tr> <tr> <td>Total FBWC Limits</td> <td>43.50</td> <td>58</td> <td>75.00</td> <td>43.50</td> <td>58</td> <td>75.00</td> <td></td> <td>-</td> </tr> <tr> <td>Rupee Term Loan-I</td> <td>5.74</td> <td>100</td> <td>5.74</td> <td>5.74</td> <td>5.74</td> <td>100</td> <td></td> <td>-</td> </tr> <tr> <td>Rupee Term Loan-II</td> <td>30.00</td> <td>50</td> <td>60.00</td> <td>30.00</td> <td>50</td> <td>60.00</td> <td></td> <td>-</td> </tr> <tr> <td>Rupee Term Loan (Proposed )-</td> <td>-</td> <td>-</td> <td>-</td> <td>19.00</td> <td>0</td> <td>19.00</td> <td>+19.00</td> <td>+19.00</td> </tr> <tr> <td>Other Term Loans</td> <td>-</td> <td>-</td> <td>586.27</td> <td>-</td> <td>100</td> <td>586.27</td> <td>-</td> <td>-</td> </tr> <tr> <td>Total Term Loans</td> <td>35.74</td> <td>5</td> <td>652.01</td> <td>54.74</td> <td>8</td> <td>671.01</td> <td>+19.00</td> <td>+19.00</td> </tr> </tbody> </table>

<table border="1"> <tr> <td>Total Fund-Based Limits</td> <td>79.24</td> <td>11</td> <td>727.01</td> <td>98.24</td> <td>13</td> <td>646.01</td> <td>+19.00</td> <td>+19.00</td> </tr> <tr> <td>Bank Guarantee (Regular)</td> <td>40.00 #</td> <td>53</td> <td>75.00</td> <td>40.00</td> <td>53</td> <td>75.00</td> <td>-</td> <td>-</td> </tr> <tr> <td>Bank Guarantee (Project Exports – General)</td> <td>5.00 #</td> <td>100</td> <td>5.00</td> <td>5.00 #</td> <td>100</td> <td>5.00</td> <td>-</td> <td>-</td> </tr> <tr> <td>LC (Inland / Foreign)</td> <td>8.00</td> <td>80</td> <td>10.00</td> <td>8.00</td> <td>80</td> <td>10.00</td> <td>-</td> <td>-</td> </tr> <tr> <td>One-time LC (Import within RTL-II)</td> <td>30.00</td> <td>50</td> <td>60.00</td> <td>30.00</td> <td>50</td> <td>60.00</td> <td>-</td> <td>-</td> </tr> <tr> <td>Total</td> <td>53.00</td> <td>59</td> <td>90.00</td> <td>53.00</td> <td>59</td> <td>90.00</td> <td>-</td> <td>-</td> </tr> <tr> <td>Total (FB + NFB)</td> <td></td> <td>16</td> <td>817.01</td> <td>151.24</td> <td>18</td> <td>836.01</td> <td>+19.00</td> <td>+19.00</td> </tr> </table>

17. That pursuant to the sanction, the Defendants duly availed the credit facilities and, in acknowledgement thereof, executed the requisite loan and guarantee documents. In this regard, the Defendants signed the sanction letter bearing Ref. No. IFB:ND:2007:259 along with its annexure dated 01.10.2007 and furnished a Board Resolution dated 01.10.2007 accepting the said sanction. The Defendants further executed Form C-1A Supplemental Agreement of Loan for increase in the Overall Limit dated 05.10.2007, Form C-2A Supplemental Agreement of Hypothecation of Goods and Assets for increase in the Overall Limit dated 05.10.2007, Form C-4A Supplemental Deed of Guarantee for increase in the Overall Limit dated 05.10.2007, and Form C-5 Letter regarding grant of individual limit within the Overall Limit dated 05.10.2007.

18. In addition thereto, Defendant No. 1 executed an Agreement to Create Mortgage dated 05.10.2007 in respect of the property situated at 5th Floor, NBCC Plaza Building, New Delhi, along with a Letter of Agreement for Fresh Documents dated 05.10.2007. The consortium banks also executed an inter se agreement dated 26.10.2007 governing the sharing of securities amongst themselves.

1. 19. That in or around March 2008, the Defendants once again approached the Applicant Bank seeking sanction of additional and enhanced credit facilities. Upon consideration of the request, the Applicant Bank granted the said facilities vide its sanction letter issued in March 2008, which was duly accepted by the Defendants. In acknowledgement of the sanction and towards availing the enhanced facilities, the Defendants furnished a Board Resolution dated 29.03.2008 and a letter dated 03.04.2008 accepting the sanction terms, and further executed the requisite loan and guarantee documents, including Form C-1A Supplemental Agreement of Loan for increase in the Overall Limit dated 08.04.2008, Form C-2A Supplemental Agreement of Hypothecation of Goods and Assets for increase in the Overall Limit, Form C-4A Supplemental Deed of Guarantee for increase in the Overall Limit, and Form C-5 Letter regarding grant of individual limit within the Overall Limit dated 08.04.2008. Pursuant thereto, the Defendants duly availed the abovementioned credit facilities in terms of the said sanction.

2. 20. That in or around July 2008, the Defendants once again approached the Applicant Bank seeking enhancement of the Non-Fund Based Working Capital limits from Rs. 53.00 crores to Rs. 162.00 crores. The Applicant Bank, upon due consideration of the request, sanctioned the enhanced facilities, which were duly accepted and availed by the Defendants. In token of acceptance of the said enhancement, the Defendants executed and signed the sanction letter issued by the Mid Corporate Branch dated 08.07.2008, and thereafter continued to avail the enhanced non- fund-based credit facilities in accordance with the terms and conditions of the said sanction.

1. 21. That in or around February 2009, the Defendants approached the Applicant Bank seeking enhancement of the working capital facilities, which request was accepted and the enhanced credit facilities were granted vide sanction letter dated 14.02.2009. The Defendants duly accepted and availed the said facilities and, in acknowledgement thereof, executed and furnished the requisite loaning and guarantee documents, including the signed sanction letter bearing No. IFB/RM-I/08-09/1111 dated 14.02.2009 along with annexures, Form C-1A Supplemental Agreement of Loan for increase in the overall limit dated 26.02.2009, Form C-2A Supplemental Agreement of Hypothecation of Goods and Assets for increase in the overall limit dated 26.02.2009, Form C-4A Supplemental Deed of Guarantee for increase in the overall limit, letter regarding grant of individual limit within the overall limit dated 26.02.2009, extracts of minutes of the meetings of the Board of Directors of Defendant No. 1 held on 25.02.2009 and 10.07.2009, Letter of Agreement for Fresh Documents dated 26.02.2009, Omnibus Counter Guarantee dated 26.02.2009, and Agreement-cum-Indemnity dated 26.02.2009.

2. 22. Subsequently, in furtherance of the consortium arrangement, the Defendants executed additional documents including the Working Capital Consortium Agreement dated 25.07.2009 among SBI, Punjab National Bank and ICICI Bank designating SBI as the Lead Bank, Joint Deed of Hypothecation dated 25.07.2009, Agreement-cum-Indemnity dated 25.07.2009, Form C-6 Letter of Undertaking for creation of second charge on fixed assets, Deeds of Guarantee dated 25.07.2009 executed by Mr. Prem Singhee and Mr. Padam Singhee, and Letter of Agreement for Fresh Documents dated 25.07.2009, pursuant to which the consortium banks also executed the Inter Se Agreement in Form CF-3 and the Letter of Authority in favour of the Lead Bank, both dated 25.07.2009.

1. 23. That in October 2009, the Defendants once again approached the Applicant Bank seeking grant of further credit facilities, which were sanctioned by the Applicant Bank vide its letter bearing No. IFB/RM-111/09-10/265 dated 03.10.2009. The Defendants duly accepted and availed the said credit facilities and, in acknowledgement thereof, signed the said sanction letter along with its annexures and furnished extracts of the minutes of the meeting of the Board of Directors of Shiv Vani Oil & Gas Exploration Services Limited held on 06.10.2009 approving and accepting the sanction.

2. 24. In furtherance thereof, the Defendants executed the requisite loan and security documents, including Form C-1 Agreements for Loan of Overall Limits covering limits of Rs. 65.00 crores, Rs. 50.00 crores and Rs. 41.67 crores, Form C-2 Agreements of Hypothecation of Goods and Assets dated 06.10.2009, Form C-4 Deeds of Guarantee for the respective overall limits dated 06.10.2009, and Form C-5 Letters regarding grant of individual limits within the overall limits dated 06.10.2009, thereby duly securing the credit facilities sanctioned and availed by the Defendants in terms of the aforesaid sanction.

3. 25. That in the year 2010, the Defendants once again approached the Applicant Bank, as part of the consortium, seeking further enhancement of credit facilities, which request was agreed to and sanctioned by the Applicant Bank under the consortium arrangement. In acknowledgement of the said sanction and towards availing the enhanced facilities, the Defendants executed and furnished the requisite loaning and guarantee documents, including a Letter of Agreement for Fresh Documents admitting their subsisting liabilities and confirming execution of the earlier loan and guarantee documents, Form C-1 Agreement for Loan for Overall Limit dated 04.08.2010, Form C-2 Agreement of Hypothecation of Goods and Assets, and Form C-5 Letter regarding grant of individual limits within the overall limits dated 04.08.2010.

1. 26. The Defendants further furnished Board Resolution dated 02.08.2010 of Shiv-Vani Oil & Gas Company LLC, Mauritius, providing corporate guarantee along with personal guarantees of Shri Prem Singhee, and executed Form C-4 Deeds of Guarantee for Overall Limit dated 04.08.2010 by Shri Prem Singhee and Shri Padam Singhee, as well as a Form C-4 Deed of Guarantee dated 04.08.2010 executed by Natural Oil and Gas Services as corporate guarantor. The Defendants also furnished Form CF-10 being extract of the minutes of the meeting of the Board of Directors of Defendant No. 1 dated 03.12.2010. It is further relevant that the Applicant Bank, Punjab National Bank and ICICI Bank Ltd. executed an inter se agreement dated 23.12.2010 governing the credit facilities granted to Defendant No. 1.

2. 27. That in or around March 2013, the Defendants once again approached the Applicant Bank seeking renewal and enhancement of credit facilities, which request was duly considered and accepted, and the credit facilities were sanctioned by the Applicant Bank. The Defendants thereafter duly availed the said facilities and, in acknowledgement thereof, executed and furnished extensive loaning and guarantee documentation. In this regard, the Defendants signed the letter of renewal of working capital limits and sanction of corporate loan bearing No. IFB-ND/RM-III/12-13/622 dated 08.03.2013 and furnished extracts of the meetings of the Board of Directors of Shiv Vani Oil & Gas Exploration Services Limited dated 12.03.2013 approving renewal of working capital limits granted by the consortium banks, including SBI, Punjab National Bank, ICICI Bank, Bank of Maharashtra and Yes Bank.

28. The Defendants further executed Form C-1 Agreement of Loan for Overall Limit dated 18.03.2013, Form C-2 Agreement of Hypothecation of Goods and Assets dated 18.03.2013, Form C-5 Letter regarding grant of individual limits within the overall limit dated 18.03.2013, and Form C-4 Deed of Guarantee for Overall Limit dated 18.03.2013. Defendant No. 1 also executed letters dated 18.03.2013 acknowledging availing of fund-based working capital facilities of Rs. 93 crores, non-fund-based working capital facilities of Rs. 222 crores, and a corporate loan of Rs. 100 crores, along with an Agreement for Pledge of Shares dated 22.03.2013. Thereafter, a Working Capital Consortium Agreement dated 03.04.2013 and a Letter of Authority to Lead Bank dated 03.04.2013 were executed, followed by multiple deeds of guarantee dated 03.04.2013 executed by Shiv Vani Oil and Gas Company, Oriental Oil and Gas Services Limited (Mauritius), Natural Oil and Gas Services Limited, Shiv Vani Oil and Gas Company (Oman), and by individual guarantors Prem Singhee and Padam Singhee, along with an Omnibus Counter Guarantee, Agreement-cum-Indemnity and Undertaking dated 03.04.2013.

29. The Defendants and guarantors further furnished extracts of board meetings and resolutions of the concerned group entities during March and April 2013 and executed Supplementary and Amendatory Agreements and Supplementary and Amendatory Deeds of Guarantee dated 12.04.2013 in favour of the consortium banks. Defendant No. 1 also acknowledged execution of the aforesaid documents by letter dated 25.04.2013 and executed Form C-6 Revival Letters dated 18.03.2013 acknowledging subsisting liabilities.

30. It is pertinent that the Applicant Bank, Punjab National Bank, Bank of Maharashtra and ICICI Bank Ltd. executed an inter se agreement dated 03.04.2013 governing the consortium credit facilities, with the Applicant Bank acting as the Lead Bank.

1. 31. That the Defendants, from time to time, duly acknowledged their subsisting liability towards the Applicant Bank and, in March 2016, executed multiple documents reaffirming the outstanding dues. In this regard, the Defendants executed Form C-6 Revival Letters all dated 08.03.2016 in respect of various credit facilities, including two revival letters acknowledging liabilities not exceeding Rs. 787 crores, two revival letters acknowledging liabilities not exceeding Rs. 49 crores, and two revival letters acknowledging liabilities not exceeding Rs. 65 crores at any one point of time, wherein the Defendants expressly admitted execution of the underlying loan and security documents and unequivocally acknowledged, for the purposes of Section 18 of the Limitation Act, 1961, their continuing liabilities along with interest, costs and charges, the said revival letters having been duly executed on behalf of the borrower and the guarantors.

2. 32. The Defendants further furnished extracts of the minutes of the meeting of Defendant No. 1 held on 14.03.2016 authorising Shri Padam Singhee to execute the revival letters in favour of State Bank of India, a letter enclosing the statement of stock and receivables hypothecated with the Applicant Bank as on 31.01.2016, and a balance confirmation dated 08.03.2016 executed on behalf of Defendant No. 1. The Defendants also acknowledged the outstanding debt in the audited balance sheet of Defendant No. 1 as on 31.03.2015.

3. 33. That the Defendants duly availed the aforesaid and restructured credit facilities; however, despite such availment, the Defendants, particularly Defendant No. 1, failed to maintain financial discipline and to service the credit facilities in accordance with the agreed terms. The Defendants, from time to time, acknowledged their liability to pay the outstanding dues, yet despite repeated demands, reminders, telephonic communications and personal visits made by the Applicant Bank calling upon them to regularise the account and honour their repayment obligations, Defendant No. 1 failed to do so.

1. 34. Even thereafter, despite issuance of a legal notice dated 08.07.2016 by the Applicant Bank calling upon the Defendants to liquidate the outstanding amounts, the Defendants failed and neglected to clear the dues, compelling the Applicant Bank to take further action in accordance with law.

2. 35. That the Defendant No. 1 was sanctioned and availed various credit facilities, namely Working Capital facilities, Term Loan-I, Term Loan-II and Corporate Loan, from the Applicant Bank under duly executed loan and security documents, agreeing to abide by the terms and conditions contained therein, including maintenance of financial discipline and timely repayment of the dues. However, the loan accounts of Defendant No. 1 became irregular due to persistent defaults in servicing the said facilities, and despite repeated requests, reminders and opportunities granted by the Applicant Bank, the Defendants failed and neglected to regularize the accounts.

3. 36. Consequently, in accordance with the guidelines of the Reserve Bank of India, the loan account of Defendant No. 1 was classified as a Non-Performing Asset (NPA) on 28.07.2013. That although the Applicant Bank, as a matter of prudence, did not apply further interest in the account after the date of declaration of NPA, the Defendants are nevertheless contractually bound and legally liable to pay interest at the agreed rates, namely Base Rate plus 4.00% in respect of the Working Capital facilities and Base Rate plus 4.10% and 4.20% in respect of the Corporate Term Loans, the Base Rate being presently 9.30%.

4. 37. Upon a comprehensive consideration of the financial particulars placed on record, it is established that the Defendants availed

multiple credit facilities from the Applicant, including working capital limits, Term Loan-I, Term Loan-II and a corporate loan, against which substantial amounts remained outstanding. As on the date of declaration of the account as Non-Performing Asset on 28.07.2013, a significant principal amount was due, and thereafter interest continued to accrue in terms of the contractually agreed rate. The outstanding under the working capital facility comprised a principal of Rs.91,21,86,810.34 with accrued interest of Rs.145,32,26,645.60; under Term Loan-I, a principal amount of Rs.13,75,43,773.59 with interest of Rs. 16,00,00,000.00; under Term Loan-II, a principal amount of Rs.29,75,91,196.91 with interest of Rs. 35,86,90,278.00; and under the corporate loan, a principal amount of Rs. 62,24,55,718.78 with interest of Rs.50,00,00,000.00. Thus, the total principal outstanding aggregated to Rs. 196,97,77,499.62, and the total interest accrued up to 13.03.2018 amounted to Rs. 219,44,60,990.60, making the cumulative sum of Rs. 455,26,94,423.22 due and payable by the Defendants jointly and severally as on 13.03.2018. The said amount is payable strictly in accordance with the contractual terms governing the facilities.

38. In addition thereto, the Defendants are further liable to pay pendentite lite and future interest at the Base Rate, presently 9.30%, with effect from 16.01.2017 until the actual date of realization. The Applicant has placed on record the statement of account from 01.01.2013, annexed as Annexure A to the Original Application, along with the detailed interest calculation sheet reflecting interest charged at various points of time, annexed as Annexure B, both of which form an integral and inseparable part of the Original Application. The existence of the debt and the subsisting liability of the Defendants is further corroborated by the unequivocal acknowledgment of debt made by the Company in its Audited Balance Sheet as on 31.03.2015.

39. It is stated that as on 15.01.2017, contingent liabilities in the form of outstanding Bank Guarantees aggregating to Rs.41,69,68,100.00, issued on behalf of Addressee No. 1, were subsisting, for which Defendants No. 2 to 7 were jointly and severally liable, subject to invocation and crystallisation of the said Bank Guarantees. Upon invocation and subsequent encashment of these Bank Guarantees, the liability of the Defendants correspondingly increased. The Bank Guarantees invoked included PBG No. 0960108BG0000368 dated 30.04.2008 for Rs.4,60,00,000.00 (paid on 09.03.2017); PBG No. 0960109BG0000567 dated 22.07.2009 for Rs.15,00,00,000.00 (paid on 08.03.2017); PBG No. 0960108BG0000367 dated 29.04.2008 for Rs.4,00,00,000.00 (paid on 08.03.2017); PBG No. 0960108BG0000251 dated 20.03.2008 for Rs.80,66,700.00 (paid on 09.03.2017); PBG No. 0960108BG0000252 dated 20.03.2008 for Rs.1,57,31,100.00 (paid on 09.03.2017); PBG No. 0960111BG0000826 dated 03.11.2011 for Rs. 2,30,85,150.00 (paid on 09.03.2017); PBG No. 0960111BG0000857 dated 14.11.2011 for Rs. 2,30,85,150.00 (paid on 09.03.2017); and PBG No. 0960107BG0000623 dated 13.09.2007 for Rs.11,10,00,000.00 (paid on 31.05.2017). Thus, upon encashment of the aforesaid Bank Guarantees, the total amount due and payable by the Defendants stood enhanced to the extent of Rs.41,69,68,100.00, in accordance with the contractual terms governing the facilities and guarantees.

40. That the Defendant Company has duly acknowledged and admitted its liability by reflecting the outstanding dues in its audited Balance Sheet as on 31.03.2015; and that further contingent liabilities in the nature of outstanding Bank Guarantees aggregating to Rs. 41,69,68,100/-, issued by the Applicant Bank on behalf of Defendant No. 1 and outstanding as on 15.01.2017, subsist, for which Defendants No. 2 to 7 are jointly and severally liable in the event of invocation and/or crystallization of all or any of the said Bank Guarantees, with the Applicant Bank reserving its right to claim such additional amounts as and when the same crystallize in accordance with law and the contractual terms.

1. 41. That the cause of action first arose on the respective dates when the Defendants approached the Applicant Bank for grant of the credit facilities and further arose when the said credit facilities were duly sanctioned and disbursed in their favour; the cause of action further arose when the Defendants committed defaults by failing to maintain the requisite financial discipline and to adhere to the terms and conditions of the loan documents; the cause of action also arose on the various dates when the officials of the Applicant Bank approached and called upon the Defendants to clear the outstanding dues; and the cause of action is continuing and has arisen on various dates as specifically detailed and mentioned in the present Original Application.

2. 42. To substantiate its case, the Applicant Bank has filed the affidavit of Mr. Darinder Pal Singh, presently serving as Chief Manager of the Applicant Bank at Stressed Assets Management Branch-I, situated at the 12th Floor, STC Building, Jawahar Vyapar Bhawan, Tolstoy Marg, New Delhi-110001, is fully conversant with the facts and circumstances of the present case and is, therefore, competent to depose as to the correctness of the facts stated in the application. He is duly authorised and competent to sign, verify, and institute all kinds of legal documents, including applications, plaints, written statements, petitions, Vakalatnama, affidavits, execution proceedings, and other allied pleadings, and to perform all acts necessary for the proper conduct of legal proceedings on behalf of the Applicant Bank in terms of General Regulations No. 76 and 77 of the State Bank of India General Regulations, 1955, framed by the Reserve Bank of India in exercise of powers conferred under Section 50(3) of the State Bank of India Act, 1955, with the previous sanction of the Central Government, as notified in the Gazette of India dated 26.09.1959, 26.08.1972, and 02.05.1987, Exhibit AW-1/1 to Ex. AW-1/4.

1. i. Authorisation Notification of the Applicant Bank, dated 27.03.1987 – Exhibit AW-1/6

2. ii. Sanction Letter bearing No. IFB/CREDIT/RM-III/2004-05 along with annexures, dated 18.12.2004 – Exhibit AW-1/7

3. iii. Board Resolution accepting terms of sanction and creating first charge over present and future assets, dated 18.12.2004 – Exhibit AW-1/8

4. iv. Letter accepting grant of enhanced credit facilities, dated 18.12.2004 – Exhibit AW-1/9

5. v. Extract of Minutes of the Annual General Meeting, dated 23.12.2003 – Exhibit AW-1/10

6. vi. Form C-1A – Supplemental Agreement of Loan for increase in overall limit, dated 18.12.2004 – Exhibit AW-1/11

7. vii. Form C-2A – Supplemental Agreement of Hypothecation of goods and assets, dated 18.12.2004 – Exhibit AW-1/12

8. viii. Form C-4A – Supplemental Deed of Corporate Guarantee, dated 18.12.2004 – Exhibit AW-1/13

9. ix. Form C-4A – Supplemental Deed of Personal Guarantee, dated 18.12.2004 – Exhibit AW-1/14

10. x. Form-5 – Letter regarding grant of individual limits within the overall limit, dated 18.12.2004 – Exhibit AW-1/15

11. xi. Sanction Letter, dated 25.05.2006, acknowledged and accepted by the Defendants – Exhibit AW-1/16

- xii. Extracts of the Minutes of the Meeting of the Board of Directors of Shiv Vani Oil and Gas Exploration Services Limited, dated 29.05.2006 – Exhibit AW-1/17

- xiii. Letter regarding grant of individual limits within the overall limit, dated 05.07.2006 – Exhibit AW-1/18

- xiv. Form C-1A – Supplemental Agreement of Loan for increase in the overall limit, dated 05.07.2006 – Exhibit AW-1/19

- xv. Form C-2A – Supplemental Agreement of Hypothecation of goods and assets for increase in the overall limit, dated 05.07.2006 – Exhibit AW-1/20

- xvi. Form C-4A – Supplemental Deed of Guarantee for increase in the overall limit executed by Shri Prem Singhee, dated 05.07.2006 – Exhibit AW-1/21

- xvii. Form C-4A – Supplemental Deed of Guarantee for increase in the overall limit executed by Shri Padam Singhee, dated 05.07.2006 – Exhibit AW-1/22

- xviii. Omnibus Guarantee / Irrevocable and Unconditional Indemnity executed by Defendant No. 1, dated 05.07.2006 – Exhibit AW-1/23

- xix. Two Sanction Letters acknowledging sanction of the credit facilities, signed by the Defendants – Exhibit AW-1/24

- xx. Extracts from the Minutes of the Meeting of the Board of Directors of Shiv Vani Oil & Gas Exploration Services Limited, dated 16.11.2006, conveying approval of the enhanced credit facilities and authorising Defendants No. 2 to 4 to convey the same to the Applicant Bank – Exhibit AW-1/25

- xxi. Minutes of the Extraordinary General Meeting of the shareholders of Shiv Vani Oil & Gas Exploration Services Limited, held on 28.11.2005, regarding enhancement of borrowing powers of the Board of Directors up to Rs. 1000 Crores under Section 293(1)(d) of the Companies Act, 1956 – Exhibit AW-1/26

- xxii. Form C-1 – Agreement of Loan for overall limit, dated 27.11.2006, executed on behalf of Defendant No. 1 – Exhibit AW-1/27

- xxiii. Form C-2 – Agreement of Hypothecation of goods and assets, dated 27.11.2006, executed by the Joint Managing Director on behalf of Defendant No. 1 – Exhibit AW-1/28

- xxiv. Form C-4 – Deed of Guarantee for overall limit, dated 27.11.2006, executed by Shri Prem Singhee and Shri Padam Singhee in their personal capacity – Exhibit AW-1/29

- xxv. Form C-5 – Letter regarding grant of individual limit within the overall limit, dated 27.11.2006, duly accepted by Defendant No. 1 – Exhibit AW-1/30

- xxvi. Form C-6 – Revival Letter acknowledging liability to repay the outstanding amounts and acknowledging the liabilities of Defendant No. 1, dated 27.11.2006, duly acknowledging the Supplemental Agreements dated 05.07.2002, 27.01.2003, 20.05.2004, 18.12.2004 and 05.07.2006 – Exhibit AW-1/31

- xxvii. Form C-6 – Revival Letter acknowledging the liabilities of SUVL Projects Limited, dated 27.11.2006 – Exhibit AW-1/32

- xxviii. Working Capital Consortium Agreement, dated 27.11.2006 – Exhibit AW-1/33

- xxix. Agreement-cum-Indemnity, dated 25.11.2006 – Exhibit AW-1/34

- xxx. Extracts from the Minutes of the Meeting of the Board of Directors of Shiv Vani Oil & Gas, dated 25.11.2006, authorising acceptance of the Letter of Sanction dated 20.11.2006 received from Punjab National Bank in consortium with the Applicant Bank – Exhibit AW-1/35

- xxxi. Form CF-6 – Letter of Undertaking for creation of first and second charge on fixed assets, dated 25.11.2006 – Exhibit AW-1/36

- xxxii. Form CF-2 – Joint Deed of Hypothecation, dated 27.11.2006, executed by Shiv Vani Oil & Gas Exploration Services Limited, the Applicant Bank and Punjab National Bank – Exhibit AW-1/37

- xxxiii. Inter-Se Agreement, dated 27.11.2006, executed between the Applicant Bank and Punjab National Bank, appointing the Applicant Bank as Lead Bank – Exhibit AW-1/38

- xxxiv. Sanction Letter bearing Ref. No. IFB:ND:2007:259 along with annexure, dated 01.10.2007, duly signed by the Defendants in acknowledgment of acceptance – Exhibit AW-1/39

- xxxv. Board Resolution acceding to the above Sanction Letter, dated 01.10.2007 – Exhibit AW-1/40

- xxxvi. Form C-1A – Supplemental Agreement of Loan for increase in the overall limit, dated 05.10.2007, executed on behalf of Defendant No. 1 – Exhibit AW-1/41

- xxxvii. Form C-2A – Supplemental Agreement of Hypothecation of goods and assets for increase in the overall limit, dated 05.10.2007 – Exhibit AW-1/42

- xxxviii. Form C-4A – Supplemental Deed of Guarantee for increase in the overall limit, dated 05.10.2007 – Exhibit AW-1/43

- xxxix. Form C-5 – Letter regarding grant of individual limit within the overall limit, dated 05.10.2007 – Exhibit AW-1/44

- xl. Agreement to Create Mortgage in respect of property situated at 5th Floor, NBCC Plaza Building, New Delhi, dated 05.10.2007, executed by Defendant No. 1 – Exhibit AW-1/45

- xli. Letter of Agreement for Fresh Documents, dated 05.10.2007 – Exhibit AW-1/46

- xlii. Board Resolution, dated 29.03.2008 – Exhibit AW-1/47

- xliii. Letter accepting the Sanction Letter, dated 03.04.2008 – Exhibit AW-1/48

- xliv. Form C-1A – Supplemental Agreement of Loan for increase in the overall limit, dated 08.04.2008 – Exhibit AW-1/49

- xlv. Form C-2A – Supplemental Agreement of Hypothecation of goods and assets for increase in the overall limit, dated 08.04.2008 – Exhibit AW-1/50

- xlvi. Form C-4A – Supplemental Deed of Guarantee for increase in the overall limit, dated 08.04.2008 – Exhibit AW-1/51

- xlvii. Form C-5 – Letter regarding grant of individual limit within the overall limit, dated 08.04.2008 – Exhibit AW-1/52

- xlviii. Sanction Letter (Mid Corp) bearing Ref. No. IFBND:2008-09:785, dated 08.07.2008, duly signed by the Defendants – Exhibit AW-1/53

- xlix. Letter No. IFB/RM-I/08-09/111 along with annexures, dated 14.02.2009, duly signed by the Defendants in acceptance of the terms and conditions – Exhibit AW-1/54

1. l. Extracts from the Minutes of the Meeting of the Board of Directors of the Defendant, held on 25.02.2009 – Exhibit AW-1/55

2. li. Form C-1A – Supplemental Agreement of Loan for increase in the overall limit, dated 26.02.2009 – Exhibit AW-1/56

3. lii. Form C-2A – Supplemental Agreement of Hypothecation of goods and assets for increase in the overall limit, dated 26.02.2009 – Exhibit AW-1/57

4. liii. Form C-4A – Supplemental Deed of Guarantee for increase in the overall limit, dated 26.02.2009 – Exhibit AW-1/58

5. liv. Letter regarding grant of individual limit within the overall limit, dated 26.02.2009 – Exhibit AW-1/59

6. lv. Letter of Agreement for Fresh Documents, dated 26.02.2009 – Exhibit AW-1/60

7. lvi. Omnibus Counter Guarantee, dated 26.02.2009 – Exhibit AW-1/61

8. lvii. Agreement-cum-Indemnity, dated 26.02.2009 – Exhibit AW-1/62

9. lviii. Working Capital Consortium Agreement, dated 25.07.2009 – Exhibit AW-1/63

10. lix. Joint Deed of Hypothecation, dated 25.07.2009 – Exhibit AW-1/64

11. lx. Agreement-cum-Indemnity, dated 25.07.2009 – Exhibit AW-1/65

12. lxi. Form C-6, dated 25.07.2009 – Exhibit AW-1/66

13. lxii. Letter of Undertaking for creating second charge on fixed assets, dated 25.07.2009 – Exhibit AW-1/67

14. lxiii. Deed of Guarantee executed by Shri Prem Singhee, dated 25.07.2009 – Exhibit AW-1/68

- lxiv. vii. Deed of Guarantee executed by Shri Padam Singhee, dated 25.07.2009 – Exhibit AW-1/69

- lxv. viii. Letter of Agreement for Fresh Documents, dated 25.07.2009 – Exhibit AW-1/70

- lxvi. Inter-Se Agreement in Form CF-3, dated 25.07.2009 – Exhibit AW-1/70

- lxvii. Letter of Authority to Lead Bank, dated 25.07.2009 – Exhibit AW-1/71

- lxviii. Letter No. IFB/RM-III/09-10/265 along with annexures, dated 03.10.2009, signed by the Defendants in token of having accepted the same – Exhibit AW-1/72

- lxix. Extracts of the Meeting of the Board of Directors of Shiv Vani Oil & Gas Exploration Services Limited, held on 06.10.2009, accepting the above letter – Exhibit AW-1/73

- lxx. Form C-1 – Agreement of Loan for overall limit regarding limit of Rs. 65 Crores, dated 06.10.2009 – Exhibit AW-1/74

- lxxi. Form C-2 – Agreement of Hypothecation, dated 06.10.2009 – Exhibit AW-1/75

- lxxii. Form C-4 – Deed of Guarantee for overall limit, dated 06.10.2009 – Exhibit AW-1/76

- lxxiii. Form C-5 – Letter regarding the grant of individual limits within the overall limit, dated 06.10.2009 – Exhibit AW-1/77

- lxxiv. Form C-1 – Agreement for Loan of overall limit regarding limit of Rs. 50 Crores, dated 06.10.2009 – Exhibit AW-1/78

- lxxv. Form C-2 – Agreement of Hypothecation of goods and assets, dated 06.10.2009 – Exhibit AW-1/79

- lxxvi. Form C-4 – Deed of Guarantee for overall limit, dated 06.10.2009 – Exhibit AW-1/80

- lxxvii. Form C-5 – Letter regarding the grant of individual limit within the overall limit, dated 06.10.2009 – Exhibit AW-1/81

- lxxviii. Form C-1 – Agreement for Loan of overall limit, dated 06.10.2009, for loan of Rs. 41,67,00,000/- – Exhibit AW-1/82

- lxxix. Form C-2 – Agreement of Hypothecation of goods and assets, dated 06.10.2009 – Exhibit AW-1/83

- lxxx. Form C-4 – Deed of Guarantee for overall limit, dated 06.10.2009, for the limit of Rs. 41.67 Crores – Exhibit AW-1/84

- lxxx i. Form C-5 – Letter regarding the grant of individual limit within the overall limit for the limit of Rs. 41.67 Crores – Exhibit AW-1/85

- lxxxii. Letter of Agreement for Fresh Documents, dated 04.08.2010 – Exhibit AW-1/86

- lxxxiii. Form C-1 – Agreement for Loan of overall limit, dated 04.08.2010 – Exhibit AW-1/87

- lxxxiv. Form C-2 – Agreement of Hypothecation of goods and assets, dated 04.08.2010 – Exhibit AW-1/88

- lxxxv. Board Resolution of Shiv Vani Oil and Gas Exploration LLC, Mauritius, as Corporate Guarantor, and personal guarantee of Shri Prem Singhee – Exhibit AW-1/89

- lxxxvi. Form C-4 – Deed of Guarantee for overall limit executed by Shri Prem Singhee and Shri Padam Singhee, dated 04.08.2010 – Exhibit AW-1/90

- lxxxvii. Form C-4 – Deed of Guarantee for overall limit executed by Natural Oil and Gas Services Corporate Guarantee – Exhibit AW-1/91

- lxxxviii. Form C-5 – Letter regarding the grant of individual limit within the overall limit, dated 04.08.2010 – Exhibit AW-1/92

- lxxxix. Copy of Extracts from the Minutes of Committee Meeting of the Board of Directors of the Defendant, held on 03.12.2010 – Exhibit AW-1/93

- xc. Inter-Se Agreement between State Bank of India, Punjab National Bank, and ICICI Bank Ltd., dated 23.12.2010, pertaining to the credit facilities granted to Defendant No. 1 – Exhibit AW-1/94

- xci. Letter of Renewal of Working Capital Limits and Sanction of Corporate Loan bearing No. IFB-ND/RM III/12-13/622, dated 08.03.2013, signed by the Defendants – Exhibit AW-1/95

- xcii. Extract of Meeting of the Board of Directors of Shiv Vani Oil and Gas Exploration Services Limited dated 12.03.2013, regarding renewal of working capital limits granted by SBI, Punjab National Bank, ICICI Bank, and Bank of Maharashtra – Exhibit AW-1/96

- xciii. Extract of Meeting of the Board of Directors of Shiv Vani Oil and Gas Exploration Services Limited dated 12.03.2013, regarding renewal of working capital limits granted by SBI, Punjab National Bank, Bank of Maharashtra, ICICI Bank, and YES Bank – Exhibit AW-1/97

- xciv. Form C-1 – Agreement of Loan for overall limit, dated 18.03.2013 – Exhibit AW-1/98

- xcv. Form C-2 – Agreement of Hypothecation of goods and assets, dated 18.03.2013 – Exhibit AW-1/99

- xcvi. Form C-5 – Letter regarding the grant of individual limit within the overall limit, dated 18.03.2013 – Exhibit AW-1/100

- xcvii. Form C-4 – Deed of Guarantee for overall limit, dated 18.03.2013 – Exhibit AW-1/101

- xcviii. Letter, dated 18.03.2013 – Exhibit AW-1/102

- xcix. Letter, dated 18.03.2013 – Exhibit AW-1/103

- c. Agreement for Pledge of Shares, dated 22.03.2013 – Exhibit AW-1/104

- ci. Working Capital Consortium Agreement between Shiv Vani Oil and Gas Exploration Services Limited and SBI, Punjab National Bank, ICICI Bank Ltd., and Bank of Maharashtra, dated 03.04.2013 – Exhibit AW-1/105

- cii. Letter of Authority, dated 03.04.2013 – Exhibit AW-1/106

- ciii. Deed of Guarantee between Shiv Vani Oil and Gas Company and SBI, Punjab National Bank, ICICI Bank Ltd., and Bank of Maharashtra, dated 03.04.2013 – Exhibit AW-1/107

- civ. Deed of Guarantee between M/s. Oriental Oil and Gas Services Limited, Mauritius, and SBI, Punjab National Bank, ICICI Bank Ltd., and Bank of Maharashtra, dated 03.04.2013 – Exhibit AW-1/108

- cv. Deed of Guarantee among Shri Prem Singhee, SBI, Punjab National Bank, ICICI Bank, and Bank of Maharashtra – Exhibit AW-1/109

- cvi. Deed of Guarantee between Natural Oil and Gas Services Limited and SBI, Punjab National Bank, ICICI Bank, and Bank of Maharashtra, dated 03.04.2013 – Exhibit AW-1/110

- cvii. Deed of Guarantee among Shri Padam Singhee, SBI, Punjab National Bank, ICICI Bank, and Bank of Maharashtra, dated 03.04.2013 – Exhibit AW-1/111

- cviii. Omnibus Counter Guarantee, dated 03.04.2013 – Exhibit AW-1/112

- cix. Agreement-cum-Indemnity, dated 03.04.2013 – Exhibit AW-1/113

- cx. Undertaking, dated 03.04.2013 – Exhibit AW-1/114

- cxii. Extract of Minutes of Meeting of Shiv Vani Oil and Gas Company LLC, dated 01.04.2013 – Exhibit AW-1/115

- cxiii. Extract of Minutes of Meeting of Oriental Oil and Gas Services Limited, dated 02.04.2013 – Exhibit AW-1/116

- cxiiii. Board Resolution of Natural Oil and Gas Services Limited, Mauritius, dated 30.03.2013 – Exhibit AW-1/117

- cxv. Inter-Se Agreement among State Bank of India, Punjab National Bank, ICICI Bank Limited, and Bank of Maharashtra, dated 03.04.2013 – Exhibit AW-1/118

- cxvi. Supplementary and Amendatory Agreement between Defendant No. 1 and the Consortium Banks, dated 12.04.2013 – Exhibit AW-1/119

- cxvii. Supplementary and Amendatory Deed of Guarantee between Shri Prem Singhee and the Consortium Banks, dated 12.04.2013 – Exhibit AW-1/120

- cxviii. Supplementary and Amendatory Deed of Guarantee between Shri Padam Singhee and the Consortium Banks, dated 12.04.2013 – Exhibit AW-1/121

- cxix. Supplementary and Amendatory Deed of Guarantee between Natural Oil and Gas Services Limited and the Consortium Banks, dated 12.04.2013 – Exhibit AW-1/122

- cxix. Supplementary and Amendatory Deed of Guarantee between Oriental Oil and Gas Services Limited and the Consortium Banks, dated 12.04.2013 – Exhibit AW-1/123

- cxx. Supplementary and Amendatory Inter-Se Agreement among the Consortium Banks – Exhibit AW-1/124

- cxxi. Form C-6 – Revival Letter executed by Defendant No. 1, dated 18.03.2013 – Exhibit AW-1/125

- cxxii. Form C-6 – Revival Letter dated 18.03.2013 by Shiv Vani Oil and Gas Exploration Services Limited – Exhibit AW-1/126

- cxxiii. Two Form C-6 – Revival Letters, both dated 08.03.2016, with regard to several credit facilities for sums not exceeding at any one point Rs. 787 Crores – Exhibit AW-1/127

- cxxiv. Two Form C-6 – Revival Letters, both dated 08.03.2016, with regard to several credit facilities for sums not exceeding at any one point Rs. 49 Crores – Exhibit AW-1/128

- cxxv. Two Form C-6 – Revival Letters, both dated 08.03.2016, with regard to several credit facilities for sums not exceeding at any one point Rs. 65 Crores – Exhibit AW-1/129

- cxxvi. Extracts of Minutes of Meeting dated 14.03.2016 of Defendant No. 1 Company authorising Shri Padam Singhee to execute the Revival Letter to State Bank of India – Exhibit AW-1/130

- cxxvii. Letter dated NIL enclosing a statement of stock and receivables hypothecated with State Bank of India as on 31.01.2016 – Exhibit AW-1/131

- cxxviii. Balance Confirmation dated 08.03.2016 executed on behalf of Defendant No. 1 – Exhibit AW-1/132

- cxxix. Annual Report of Shiv Vani Oil and Gas Exploration Services Limited for 2014-15 – Exhibit AW-1/133

- cxxx. Revival Letter, dated 17.12.2016 – Exhibit AW-1/134

- cxxxii. Summary of all accounts of SVOGL Oil and Gas Energy Limited and others with correct application of interest – Exhibit AW-1/135

- cxxxiii. Legal Notice issued to the Debtor Defendants, dated 08.07.2016 – Exhibit AW-1/136

- cxxxiiii. Copy of the Statement of Account from 01.01.2013, annexed with the Original Application – Exhibit AW-1/137

- cxxxv. Certificate under Section 2A(a) and 2A(c) of the Bankers' Book Evidence Act, 1891, acknowledging the debt of Defendant No. 1 as per audited balance sheet as on 31.03.2015 – Exhibit AW-1/138

15. The witness produced on behalf of the Applicant Bank has fully corroborated the averments in the present TA, and the Bank's case, being primarily documentary, has been duly supported and authenticated; the evidence remains unrebutted, and the Respondents have failed to discharge their liabilities despite repeated notices and reminders. Accordingly, the Applicant Bank has established its entitlement to recover the entire outstanding dues, together with pendentelite interest and future costs, in accordance with the agreements executed. In view thereof, the present TA is allowed, and the Defendants are held jointly and severally liable to satisfy the said dues in full.

16. In this TA, The Applicant Bank has prayed for the issuance of a recovery certificate against Defendants No. 1 to 7. In the present matter, Defendant No. 1 is the principal borrower to whom the financial facilities were sanctioned. However, since insolvency proceedings under the Insolvency and Bankruptcy Code (IBC) are currently pending before Ld. NCLT, no relief is sought or granted against Defendant No. 1 in the present TA. Defendants No. 2, 3, and 4 stand as personal guarantors, while Defendants No. 5 to 7 are corporate guarantors. The remaining Defendants No. 8 to 19 form part of the consortium that extended the credit facilities to Defendant No. 1 and SVUL Projects Ltd. has now merged with Defendant No. 1 company by order dated 28.03.2006 of the Hon'ble Delhi High Court.

1. 17. Consequently, TA No. 233/2022 is hereby allowed in favour of the Applicant Bank and against the Defendants No. 4 to 7, who are held jointly and severally liable to pay the dues of the Applicant Bank, along with costs and pendentite lite and future interest @ 13% per annum, as claimed in the TA, from the date of filing of the present TA until full and final payment.

ORDER

TA No. 233/2022 stands allowed in favour of the Applicant Bank and against the Defendants No. 4 to 7, who are held jointly and severally liable to pay the outstanding dues of the Applicant Bank. The Defendants No. 4 to 7 are directed to pay, within 30 days, a sum of Rs.455,26,94,423.22 (Rupees Four Hundred Fifty-Five Crore, Twenty-Six Lakh, Ninety-Four Thousand, Four Hundred Twenty-Three and Twenty-Two Paise only), along with costs and pendentite lite and future interest at the rate of 13% per annum, as claimed in the TA, from the date of filing till realization. In case of default, the aforesaid amount shall be recovered by sale of the hypothecated/charged stocks, tangible movables, and the available mortgaged properties.

It is also directed that the Applicant Bank shall adjust the amount(s), if any, received from the defendants during the pendency of this case.

Further, in case of shortfall, the same shall be recovered from the sale of movable and immovable assets of the Defendants No. 4 to 7.

So far as, Defendants No. 1 to 3 are concerned, since Defendants No. 1 to 3 are before Ld. NCLT, hence, no order qua Defendants No. 1 to 3 can be passed against said Defendants at this stage.

However, it is directed that Applicant Bank shall be at liberty to revive the OA qua Defendants No. 1 to 3 in case NCLT are quashed / withdrawn in future, in accordance with law.

It is further directed that in case Applicant Bank receive any amount from the proceedings pending before Ld. NCLT, they shall give due adjustment of the same in the recovery proceedings.

It is also directed that the applicant shall adjust the amount(s), if any, received during the pendency of this case.

1. i. The recovery certificate be issued forthwith and be sent to the Recovery Office-I, Debts Recovery Tribunal-III, Delhi.

2. ii. Parties are directed to appear before the Recovery Officer-I, DRT-III, Delhi on 20.02.2026.

3. iii. Copies of final order as well as Recovery Certificate be sent to all concerned free of cost.

File be closed and consigned to records.

(Pronounced in open court)

Dated: 05.01.2026

K. Singh

(SHIV KUMAR - I) PRESIDING OFFICER, DRT-III, DELHI

05.01.2026

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